UAFS chancellor says federal funds safe for now
by January 28, 2025 6:49 pm 216 views
University of Arkansas at Fort Smith (UAFS) students receiving federal student loans or federal student grant aid will not be impacted by President Donald Trump’s executive order to put a hold on a wide range of federal financial disbursements.
UAFS Chancellor Dr. Terisa Riley sent an email to students and staff Tuesday (Jan. 28) noting that federal funds will be available. The university has around 850 employees and around 5,500 students. UAFS has 26 full-time employees and 25 part-time employees who are at least partially paid through federal grant funds, said Rachel Putman, UAFS director of communications.
“As you may be aware, President Donald Trump’s Office of Management and Budget (OMB) ordered a hold on all financial federal assistance. The purpose of the hold, presumably, is to ensure that federal programs are in alignment with the executive orders signed by President Trump and that funds are spent in congruence with his priorities,” Riley said in the email. “The notice does not affect federal student loans or federal student grant aid, both of which are direct aid to individuals (similar to Medicare and Social Security).”
Riley said the university’s Offices of Financial Aid, Student Accounts Receivable and Finance are working to ensure that the university drew down all federal funds Tuesday and are prepared to disburse those funds to student accounts according to schedule.
The notice does place a hold on other grant programs such as Title III, TRIO, and Economic Development Administration grants, and administration is awaiting further instructions from the Office of General Counsel about how to proceed, according to the UAFS. Title III broadly helps academic institutions provide aid to low-income students. TRIO consists of eight programs that include aid to low-income persons, first-generation college students, and individuals with disabilities.
“The university will process end-of-month payroll tomorrow, and all individuals who are compensated from grant funds will be paid as usual this month,” the email noted.
Riley traveled to Little Rock Tuesday to continue discussions and receive information from University of Arkansas System leaders and said she would provide updates as she learned more.